Buying or selling a property in Spain

BUYING & SELLING A PROPERTY IN SPAIN

Whether buying, selling or constructing, residential property transactions are the most significant any of us ever undertake. The advice and services Diamond Casas offer are designed and provided with this in mind. We can help you avoid common obstacles, stresses and risks. But most importantly we will work with you to maximise the value of your most important asset.

BUYING A PROPERTY IN SPAIN

Diamond Casas will find for ‘you’ your perfect property. We take the time to understand our clients and their needs, no matter how diverse, before introducing them to the best properties to meet their requirements. With access to the entire market, we are able to find exceptional homes – often long before they come to market – this is only the start of our service.

Once you have decided on the property you wish to purchase it is normal procedure in Spain to place a reservation deposit. This can be anything from 3.000 – 10.000 euros, depending on the purchase price. This deposit is accompanied by a reservation contract which states the names and identification numbers of the buyer and seller, the agreed sale price and any conditions that have been agreed concerning the purchase.

At this point your lawyer will begin carrying out the necessary checks on the property with the local land registry to ensure that all the property’s documents are in correct order, that there are no embargos or debts on the property and that the person selling the property is actually the owner.

Once the lawyer is satisfied that everything is in correct order then the buyer and seller will sign a private purchase contract (a compraventa) and the buyer will pay a 10% deposit (less the original reservation deposit). In this contract, the buyer and seller details and identities are stated, along with the agreed sale price and the date for the final transfer of the property from seller to buyer. At this stage, if the buyer decides to withdraw from the purchase they will forfeit their deposit and if the seller withdraws they will be obliged to repay double the deposit amount to the buyer, unless otherwise agreed.

After signing the Escritura you will receive the keys of your new house. All services/utilities will need to be registered in your name, we will assist you with this.

Spanish nationals need only their identification (for all persons whose name is going to appear on the title deed).

If you are a non-resident the Spanish Ministry of Interior requires you to obtain a certificate of non-residency, which in turn determines your fiscal number, so that you can sign the title deed. It will also be required later in order to pay taxes. This document is known as an NIE number. As from 1st January 2012 local police stations are not accepting NIE applications through a power of Attorney; clients must now apply for their NIE personally at the police station or at Spanish Consulates / Embassies.

SELLING A PROPERTY IN SPAIN

Diamond Casas ensure that the sale of your property is handled with care, discretion, professionalism and enthusiasm. We understand what makes your home and its location special, we only represent the premium locations in our portfolio, so we will find the right buyer who will enjoy it as much as you do.

The selling process will start with our presentation of your property on our website and it will also be featured on our presentation screen in our hotel office. As we have local knowledge and international connections, we work together with local and international estate agents, and keep them updated with our newest properties including a full presentation of each property.

We will manage viewings and advise on the sale of your property from start until completion.

We will also present every offer that is made to you.

Once there is an agreement our lawyers will make a private sales contract. This contract will contain :details of the buyer and seller, the agreed price, the deposit, specification of property, (by Escritura and/or Nota Simple).

After signing this contract our lawyer will take over the process and he will investigate all paperwork.

A short summary of costs for the seller:

Plus Valia

Ibi

Non resident retention of 3%

Up to date with water and electricity

Up to date with community costs, if applicable

Cancellation fee for mortgage if applicable

Commission

Diamond Casas will provide you with an exact summary of costs.

Recommendations

Property negotiators at Diamond Casas are experienced and have up-to-date knowledge of the current laws and tax liability. We are happy to advise any owner choosing to list their property with us. If you would like to speak with one of our professionals about listing your property, or have any questions that are not covered here, do not hesitate to contact us.